>> greece's prime minister tells his country to vote no and sunday must be referendum. a new poll ahead. an exclusive interview telling bloomberg the eurozone can expand the price. >> the eurozone can handle this. caroline: strong payroll numbers bending the case for a fed rate hike, the focus will be on wages. facebook on youtube, the social network says it will share and revenue with companies that post videos on the way to getting

away from the video giant. >> welcome to countdown, i am guy johnson. anna: and i and and edwards at headquarters in london. it is 6:00 here on thursday morning. welcome to the program. let's find out where the greek obsession has taken the markets in the last 24 hours, this has been the picture over the close. for equities in the middle of morning, there seemed signs of come from eyes from the government in athens. those were rained on a little bit, gains in the equity markets were trimmed a bit, as the prime minister retreated and called for a no vote to be supported on sunday during the referendum. that did not start some of the

optimism for the close of the equity markets, and into the u.s., as well. if we look at the u.s. markets, they moved higher. the big story came from oil, oil dropping the most in three months as stockpiles of crude increase. also, airline stocks were hit on newsday faced antitrust area more of those stories as a move ahead. move over greece, we are going to focus on u.s. job creation news. 233 is the latest estimate coming through from economist. we need to pencil in for today we saw a couple of strong gains in the u.s. dollar -- confidence is building around this jobs number. and what that does to the fed stay tuned to bloomberg throughout the day. we will be speaking to labor

secretary thomas perez. after those numbers are released/ something else to occupy the markets today -- the greek story is still very active. let's get the top line out of greece today, the prime minister was crushed by the eurogroup of course. he is not backing down on holding referendum. as you said in headline, he wants the electorate to vote no. >> it was a day of high drama, an evening of high drama in athens. we had this sent to the eurogroup it showed the greek government may be conceding some of the points to the creditors that have wanted it. that did not actually last that long. two things happen. we saw the eurogroup, i love

angela merkel, closing the door. we're going to wait until after the referendum, and negotiations and restart. the door was slammed very quickly. it may be a negotiating tactic in key areas that the greek government was not getting it on -- pensions and particularly the greek island had two key sticking point. a little bit later in the evening, we saw the prime minister go on state television. his words were very clear. . >> know is a decisive step towards a better agreement. it consists of the people's clear mandate. no does not mean clashing with europe, but returning to

european values. no means strong pressure for a viable agreement that will not eject the agreement or undermine our attempts to restore society. no means strong pressure for a socially fair agreement that will equally divide the burden. not the people relying on salaries and pensions. guy: no no, no -- that was the message. the no camp and the yes camp actually a little more even. there is a deep split we understand with whether the referendum should go ahead. whether or not the greeks should return to the negotiating table. the fact that the referendum is still happening is a major issue for creditors. in totality, it is not entirely convinced it to go ahead. anna: your greek is improving by the day.

are we going to be fixated on these polling numbers as they come through? as we head towards the referendum on sunday? guy: it is absolutely fascinating, anna. it was taken on tuesday, a thousand of people the margin of error free percent. on the yes or no cap, yes was 47. no 43. the yes cap ahead. they then ask another question do you believe greece should remain in the eurozone no matter what the sacrifices are? 74% said yes. that really, i think, tells a story here. the greek people cannot make up their mind what exactly they want, what sacrifices they are prepared to make. they want to stay in but the government is pushing towards a

no vote. anna: that leads on to the creditor position. hans creditors have been trying to cast this boat is being all about euro membership. a straightforward question about whether you want to be in or not? that is the creditor position. hans: the creditors are clearly unified. they are taking a look at the vote, they want a more general existential question -- do you want to stay? what you had last night was the actual offer rejected, it was confirmed after the conference call of the eurogroup. he also reminded the prime minister that greece had already said they would pay their debts. earlier in the day, this is after the prime minister spoke we heard from angela merkel things are suspended until they have the referendum.

she said she still has a good personal relationship with the prime minister. they had several phone calls over the last two days, she suggested europe would survive the matter what. angela merkel: yes, these are turbulent days. there is a lot at stake. the world is watching us, but the future of europe is not at stake. hans: her finance minister was even harsher. he had a comment saying the greek government is not serving the people by making false statements. coming awfully close to accusing them of actually line. other finance ministers are trying to make it clear what a no vote would actually mean. this is what we will see over the 48 hours, other ministers trying to put the mistake into clear relief. he said the greek banks might

not reopen with the euro as the currency in the case of the european vote on sunday. even if it passes, and guy was saying it is 47-43, it is not a simple skin graft to take that old document and put it on the esm. as a german finance minister is hitting, that old offer has expired. they will need to renegotiate. the question is do they renegotiate with the technical government in its place? anna: thanks so much hans nichols joining us from berlin. guy johnson in athens. we will bring you live and continuous action of sunday's referendum. that is from 11:00 p.m. u.k. time on sunday. on jul5y 5, with coverage

continuing into monday. we will have all of the reaction to the referendum. stocks in asia rose for the third day, ahead of the u.s. jobs report. turmoil continues that will be a big focus on the markets. let's get to david, he has the latest from hong kong. david: good morning, you're absolutely right. investors just getting out of the lunch break, certainly one eye on greece. immediate point of focus is the jobs report you were mentioning. if you do get a blowout number there, and the government shifts to the wage increases, as the economy is trying to get rid of the labor market, it puts the september rate hike, already strongly back on the table.

they were up half of 1%. the third day of gains i will get to that in a moment. the carmakers in japan because of the strong are the sales in the u.s. up 7/10 of 1%. there are two things i want to notice, as well. another big trade deficit for may. on the opposite side of the spectrum, south korea reported a massive surplus. to give you an idea of the changing dynamics year, this whole valley change across asia. up 3/10 of 1% over and south korea. look at this, here in hong kong -- casino shares. a lot of people were expecting a very bad number when it came to gambling intake revenue for june. down 86%, not as bad as some

were expecting. will this hold? let us see. back to you. anna: david, thank you very much. in hong kong. another story anticipated by investors today, the u.s. job creation number from america is due later today. all likely watching for a strong figure to lend a strong fed increase. >> today's theme, more the same. pretty much all of the momentum says the labor market continued in june. the consensus was lightly higher than what was projected for may. that was higher than forecast. there is risk again this month. yesterday's reports suggested stronger hiring an american factories. as hiring rose, unemployment is forecast to fall.

a number that will draw the most scrutiny is wages. janet yellen has made it a centerpiece of policy. a relatively strong gain is forecast, it will not boost the annual rate. we do have two job reports before september. given the uncertainty about the moves we see this year, a strong report may produce indigestion on trading desk. michael mckee, bloomberg new york. anna: what should the fed wait for before hiking rates question mark many data points missing. tweet us @annaedwards. the payroll number is due out at a: 30 a.m. that is 1:30 u.k. time. a couple of other key pieces of

data, spanish unemployment comes out at 8:00 london time. then we expect the interest rate announcements, busy and on the move this morning. coming up on countdown -- >> the eurozone can handle this. it depends on the structure of the banks, and the greek economy is no different. it is important to say that greece is small. but the problem is complex. anna: a resolute ceo, that was a clip of him speaking to bloomberg in an exclusive interview. we will hear more from him, when it returned. stay with us.

anna: welcome back, 17 minutes

past 6:00 in london. the insurance giant ace announced a buyout of arrival. it will help them compete with aig formally led by greenberg's father. facebook will begin sharing advertising revenue with companies that post video on its site. the social network will contribute up to 55% on ads that appear alongside videos. we are just three days away from the new bailout package. a new poll suggests increasing support for a yes vote. the prime minister called for rejection of the sunday referendum. move over greece, today is all about the fed. joining us now for a conversation about the fed,

jpmorgan international's nick. let's start with the fed. when you think they will engage and start increasing interest rates? nick: we expect a really decent payroll report today. we think the u.s. economy is building strongly. it is over the bad weather, expect a decent payroll number. that puts the fed in play for september. anna: defined decent. nick: a good 225,000 jobs. anna: not bad in comparison to last year. it has been nine years since we started a rate tightening, from the u.s.. a lot of uncertainty about whether this will look like anything that has gone before. nick: the starting point is

effectively zero. our sense is that they go every other meeting. by the end of next year 2016, it will be roughly in line with inflation. that is a heck of a lot of tightening, as well. interest rates very close to 2%, from a starting point, that is pretty decent. anna: how are you on bull markets? looks like we were embarking on a bond market, when they were over. there was concern that the lack of liquidity, everybody rushing to the exit at the same time, is that keep you up at night? nick: it is an inflection point. no doubt about that. the question is, what sort of bond? hardly, government bonds -- you don't want big positions in with the fed about two raise rates. high yield looks like a steel.

anna: you like committees that are not having difficulties paying their debts. you refer to the rising star the future investment companies. investment-grade companies, how you go about finding those? nick: remember the evaluation. when you look at u.s. high-yield, you have a percent wider than where they were a summer ago. you have yields around 6.5%. that is pretty juicy for a company that we think will have a very low default rate. when you look at europe, it is in repair mode. those companies are in great shape. they have the boost, of course from the weak euro -- the strong dollar. that is great news for the export values. anna: how high do you think peripheral yields will go. at the start of this week we were all fixated on italian

portuguese, spanish yields -- when they go up anywhere near as high in 2011-2012? they did not. nick: we are looking at a maximum of a half a percent wider in terms of spread. when you look at potential contagion and greece, it is likely to be limited. the debt is mainly held in official sector homes, as opposed to private. the second of course is the ecb. do not fight the ecb. they're are very clear, they have strong firewalls -- a lot of tools at their disposal. they are willing to use them. anna: are you clear as we had to the referendum on sunday, what the ecb will have to do on monday to enable people to see a future for the greek banking system? how things will unfold?

nick: i don't think anything is clear. we think of greece as a high-speed game of ping-pong. you have proposal counterproposal -- it is a very murky situation. it is a murky situation unclear. what is clear is the role the ecb can play, and they have indicated they will play it to maintain financial stability. anna: the latest polling is indicative, and we do get a yes, and the great people vote to endorse austerity and stay in the euro, or whatever they think they're voting on, does that mean the ecb comes out strongly? nick: maybe. so far, there is the no need to do it. there were a few lines in the press statement. the market in europe has been a sea of tranquility, so far. when you look at the moves we

have seen in the bond and peripheral markets, the euro has been there he or early. anna: thank you very much for joining us, nick gartside. since 2008 ace has agreed to buy his rival. the deal is the latest in a recent acquisition spree for ceo evan greenberg. we have all the details this morning. thank you, for covering the story. how big a deal is this for the insurance industry, in terms of the deal-making? >> it is a big deal. evan greenberg said back in october, it would be a feeding frenzy. analysts are now saying this will drive fever across the insurance industry. it comes after the busiest

quarter already in 12 years. this is about increasing competition, affecting profits, companies are looking to make acquisitions. we see a lot of activity along reinsurers. you are saying, ace and chubb are both well-run companies. what will this mean for the smaller players? anna: what is driving the optimism globally? >> globally, they are on track to pass $3 trillion for the first time since 2007. investment bankers at bloomberg said that if the current environment continues, the current activity could surpass 2000 levels. you could see it in health care telecom, and tech sectors. i was beating to people there and regulators particularly, i

asked if they were concerned about the cross-border deals? it is so fragmented. you might say, look, there is such high valuation. the investment bankers are saying companies can use the high-value equity to fund the deals. it is also about economic recovery, the availability of credit. interestingly, they say it is not being driven by fear that rates will rise, that the fed should not have too much impact. anna: thank you so much. 6;26 here in london, we have live pictures for you. live pictures every morning from athens, once again, we have people cueing up outside banks. as capital control have been in place pensioners have been

allowed to get some of their savings. we will be back in athens during programming today among all this week. stay with us on bloomberg.

anna:, 6:30 in london. 7:30 in paris. let's have a look at the asian markets, we have asian stocks gaining for third day. we had gains in europe u.s. yesterday, there is a sense perhaps we are in limbo until the referendum x place in greece on sunday. also awaiting, of course, the job creation number for the month of june out of the u.s. economy. treading water a little bit, the japanese market getting a boost. over the last couple of days, at

least as we look ahead to foreign payrolls. perhaps a fed rate hike. let's get a look at the stories you need to know. ace has announced a $28.3 billion buyout of rival chuibb. ceo evan greenberg says his company will owned a combined 17%. formerly led by his father, and warren buffett's berkshire hathaway. facebook has announced plans to move premium content away from youtube. it will begin sharing advertising revenue with companies that post video on its platform. they will offer contributors 55% of the revenue of ads that appear alongside. let's get more on the situation in greece now. our guest for the next hour is

senior foreign exchange strategist, james. we looking at live pictures from athens. i will clarify the busy scene. let's bring in jane. jane, are you more focused on athens or frankfurt? are we in limbo in the story? until sunday. jane: there is been a huge amount of news, lots of rumors and reports. we know from the germans from angela merkel, there is nothing to discuss until the referendum. until we know the results of the referendum, we are more or less in limbo. the opinion polls think the market is trending up, the latest indication is more likely to be a yes.

that is why we see a little bit of relief overnight. anna: let's bring in the brussels angle for the story. she has been covering this for us and russell, good morning to you james. the primus or show some flexibility yesterday, but the compromise or the suggestion of the compromise, bring us up to speed. james: that is right, he sent a letter yesterday. pretty much saying he was willing to agree to most of the proposals in the latest side from the creditors in brussels. the eurogroup was meeting last night via teleconference between sending the letter and the talking about it, the prime minister went on tv and basically rubbished the rebels -- the same way he had done last

weekend. we are getting mixed messages here in brussels for exactly what athens is trying to do what they are pushing for. because of that, the head of the eurogroup this came out of the meeting and said listen, we're going to wait on the referendum. then, we will see what position greek government is going to take. and then we can restart negotiations at that point. anna: for the audience at home trying to deliver the message for people watching, are you happy to wait for the results of the referendum, instead of pushing for an agreement before then? do we think it will go their way? james: i think so. even though the polls arnett and neck in terms of the referendum on sunday, the euro area officials in general are trying

to frame it as a vote by the greek people for or against the euro. i think they are feeling confident that the greek people don't want to give up the euro. they are getting a taste of the capital controls in place of how things might look, how it might be more problems going forward if they do vote the suggestion they want to leave the euro. angela merkel in germany, and the eurogroup in general here, they're very happy to wait and see the outcome of the referendum can go forward. anna: james, thank you very much. just to clarify, those were not live pictures at the start five minutes ago. they were over the last couple of days. we've seen a great deal of protest, things quiet now. jane, back to you. it struck me this morning as i was reading your notes, things

are getting circular as who are backing the story. to some extent, the imf helps greece because they know they're there. is that something we take for granted? is an area of concern? jane: and particularly, the role that ecb is playing. go back to a couple of years ago, the ecb told the promised they needed to get a plan in place. we had a lot of headlines about the greeks not paying the imf on june 30. that was the same day the bailout ran out. right now, they have no bailout in place. that needs to be drawn, because the ecb had an emergency meeting to not change any of the regime because we know this is a

massive payment. $3.5 billion, if they pay that back, at that point, if they decide to make it much more difficult for the greek banks, they could collapse. the ecb relationship and this is crucial. anna: how are they just find support, giving the bailout might expire. jane:y for the greek banks. the fact that those risks are the reason why they have decided not to make any amendments this week, they know their decisions could force greece one way or the number.

we know the capital controls are already a really bad situation for consumers, if this continues, the greek bank may be forced to print another currency. the ecb positioning in this is utterly crucial. anna: that takes us on to our next conversation, jane foley stays with us. let's stick with greece. earlier, bloomberg spoke exclusively to frederic about the wider implications of the greek crisis. >> at the end of the day, the eurozone can handle the scenario. in terms of the structure of the banks exposure to the greek economy, it is different. it is important to say that greece is actually small. but it is true that problem is complex.

how to strike a deal where, on one hand, the greek economy or the greek people -- but on the other hand, which is acceptable for the creditors. in particular, you should think about restructuring. you need to be sure there is a consistent and limitation of reforms. so that greece will effectively behave going forward to improve the economy and competitiveness. you cannot go without this consistency. what happened in the change of government, left more confusion regarding this. we have seen positive examples in ireland. it went through a difficult time, but it is getting much better. you can talk about spain, as well. >> and european bank's have cut their exposure to greece quite dramatically. as is going to be a blip for

banks? we can be complacent about contagion. >> i think that greece is very small. we have no more sovereign debt, no direct impact. the risk of contagion is not on the banks. it might be on the sovereignty of countries. the ecb is buying the certain debt of countries. i don't think actually the risk of contagion is so strong. >> does europe have enough to limit these firewalls to protect situation like this? has there been any plan in terms of preparation for an exit? what are the applications? >> the banks do not have strong links with greece. the real impact what is at stake is more about the

eurozone. what a potential exit would mean for the eurozone, i'm sure they will say it is not what we felt it was. it was just a kind of fixed currency rate agreement. that is where i'm pretty sure that we're going to with that scenario, the eurozone government would take additional initiatives to say it is a one-off. and the confidence with the integration and the solidarity of the remaining countries. i think it is much more about political consequences rather than direct financial impact. anna: speaking to yvonne man in hong kong. that is the greek story. everybody in the market watching what the fed is doing at the moment, as well. a key element of the decision-making right now is the job number. we will get job creation numbers later. we are asking, what should the

fed wait for before hiking rates? anything? many data points, what are your thoughts? #fedlitoff. 6:41 in london, coming up, is an historic agreement insight? diplomats negotiating a treaty with iran say if rules are breached, we will bring you more from our guest in two minutes.

anna: welcome back, 6:45 in london. here are the stories you need to know. ace has announced a $28.3 billion buyout of chubb. the cash and stock deal will see him earning 70%. the takeover will help ace who competes with rivals, formerly

led by greenberg's father and berkshire hathaway. investigators say a faulty connection mistakenly shut down the engine during a flameout, 43 people died when the flight lost out the dude. and it crashed into a nearby river, minutes after takeoff from taipei. we are just three days away before greek voters have their say. a poll suggests increasing support for a yes vote. 47 percent of people vote in favor of the rescue deal. compared to 43% in the no caps off. the trimester renewed his call for voters to reject the plan in sunday's referendum. negotiators say they have resolved differences for curbing

iran's nuclear problem, and historic agreement insight. here is what the iranian foreign minister had to say. >> we will continue, and we will make progress. we have made progress, and we will use every opportunity to make progress. anna: so, let's get thoughts now. he is the principal analyst thank you for joining us. do you see a deal? what percentage of ability? >> i would say, at the moment, a deal is still looking more likely than not. tough negotiations at the moment, we can seal a broad outline of framework. having said that, there are still some very difficult issues that need to be resolved. the main one probably being the

pace at which sanctions are lifted, also the details of the inspections regime. iran wants to see sections lifted a mealy, where as th e us..s. sees it more gradual. anna: has it been through compromise driven by pure political will to get a deal done on both sides? >> there is clearly a very strong need for a deal. if you look at the iranians the economic issue is clearly the main driving factor. if you look at the economy that in 2013, it was on the ropes. they made some adjustments back then cut public spending things look better. but then of course, we had the oil price slide -- which has put pressure on the economy. that has been a big factor. the american side for obama,

this is his main foreign political objective. the ministration has struggled in the middle east, this is their main target. anna: one thing that strikes me, is despite the economy being crushed, the people are very much in support of the nuclear program. and they are blaming the americans, the europeans for the crushing impact of the sanctions. which is similar to russia, where the people blame not vladimir putin's decision but even when seaming conditions are lifted what does that mean for the nation? particularly iraq and america? >> that is a problem here with this trust and mutual suspicion. i think initially, there was his

hope that negotiations would lead to an agreement. that is looking increasingly unlikely. it just boils down to the nuclear program itself. any sort of idea that this would strengthen more moderate elements in iran, i think that is looking increasingly likely. if you look at the saudi position, the deal could actually make sections worth. they are concerned that iran's role it could be embolden to act more forcefully. anna: how will iran behave in the region after a deal is done? does it change anything about how active they are in various regional conflicts? yemen, in particular. >> yemen and syria are good examples. bashar al-assad comes under

stronger pressure, clearly, we're looking at some immediate lifting and freezing of sanctions. we know iran will begin in actions and billions of dollars. it is likely a significant portion of that will go to foreign political adventures like yemen and syria. there is quite a high risk that iran will feel emboldened to act more forcefully. they know that americans do not want to jeopardize a deal, so they feel they can act more forcefully in the region. anna: we have seen a number of oil companies talking about doing business there. or starting to do business there. how difficult is that going to be, though? >> i think it will be difficult. first of all, i ran will be a huge opportunity. the largest oil and gas reserves in the world, a good start and increasing production of crude oil relatively rapidly once

sections are lifted. projections will vary on how quickly they are lifted and how, but we see an agreement in the next few weeks, by the middle of next year, we can expect iran to be around 600,000 barrels a day in crude production buddy and .17. as you say, clearly companies would face significant operational challenges in iran. if you look at 2000, it is not great. i think the main one will be the unattractive fiscal terms that iran offered to companies, and now appears there committed to improving those. we will have to wait and see. they are in competition with other countries, it will have to improve that. leaving that aside, you have other programs such as the petroleum bureaucracy that is a

huge problem. anna: thank you for joining us. he is an analyst for the middle east and north africa region. let's get back to our senior for exchange analyst, jane foley. let's talk about the fed. we all want to talk about a diverse range of subjects these days. 233,000 seems to be the magic number. is that what you are expecting jane? the other one of rate the lowest since 2008? jane: what about wages? particularly with janet yellen we have to look at all the details. if you go back to may, of course she has them a lot. he talks about improving on the road to recovery. anna: she said there is room for further improvements. jane: that was made, not long

ago. she talked about other firms in the u.s. saying the wages have been encouraging. in the u.s. there are concerns about productivity. productivity remains relatively low, that will put a cap on wages. and the fed's ability to cap interest rates. anna: jane, stay with us. we are joined by tim from our website. what do have us this morning? tim: we had a story about how bmw is introducing and developing a fuel cell car running hydrogen. tesla has been a runaway success. anna: and they are providing tax rebates. tim: there is still an open question as to which technology will rule the day, the battery

or the hydrogen. toyota has a commercially available fuel-cell car. anna: what else do we have? climate talks, an interesting story about -- tim: it is an uncomfortable truth for one of the climate sponsors edf is a giant power company. when you look at it, their sponsorship material shows a beautiful alpine lakes, a hydroelectric dam. they are one of the largest coal importers into europe. they also have coal-fired station. the ceo there has said he is getting out of the coal business, they're getting out. the french state is very active in both companies, there is no way they are not cognizant of this fact.

anna: you talk in recent weeks about the awakening going on within the european oil companies, with regard to climate change. it has changed direction, certainly gas companies rather than oil. shifting around on the corporate theme, take us into the world of auctions and 70's. tim: a big sale last night, 40% up the year ago. an antiwar all dollar painting is 21 million pounds. there is another reality in the sales. we are seeing that the sales, a lot of auctions are going unsold. the question is, is the market cooling? or are people asking too much and being greedy? anna: it says one dollar on it. thanks for joining us. 6:56 in london, we take a short

break. we will be back in athens you are seeing live pictures now. we will be live in brussels, frankfurt, and berlin as we continue to count down to the referendum this weekend in greece. ♪

guy: greece's prime minister alexis tsipras tells his country to vote no and sunday's referendum. in an exclusive interview bloomberg is told that the eurozone can withstand the crisis. >> scenario is at the end of the day -- the eurozone can handle it. anna: jobs day in the usa. the focus will be on wages. >> facebook takes on an revenue. to lower viewers away from --

lure viewers away from google. guy: welcome to athens, welcome to countdown. i am guy johnson. anna: i am anna edwards. let's bring you up-to-date with what has been happening in market. something of a greek roller coaster ride. as i'm showing you this, there and mind, this was the picture at the close. we had some extra optimism coming into markets as a result of tentative signs that maybe the greeks were prepared to compromise and that led markets higher. that enthusiasm was a water down toward the end of the trading day.

the u.s. markets where we saw moves higher in u.s. equities. there are a number of other stories feeding in their around the oil story. the oil dropping the most in three months as stockpiles of crude increase. that was another one of the stories and focus. today it is very much about the payroll number in the united states. the number of jobs created in the month of june. 233,000. that is the magic number that economists have penciled in. the lowest levels we have seen since 2008. lots to talk about, with thomas perez the united states labor secretary and he will be joining

us later today at about 3:45 in the afternoon. let's get to our top stories. one is the latest developments coming out of greece. a late compromise by the greek prime minister alexis tsipras crushed by the eurogroup. hans nichols is in berlin and paul gordon is in frankfurt. guy tsipras is not backing down on holding a referendum and making a clear statement to the people? guy: confusion there. drama in athens. as the afternoon wore on we had stories emerging. the eurogroup appeared to give ground on certain key points that had been demanded by the creditors. social media and the athens body politic. mr. tsipras then appeared -- they will go ahead and how we

wanted to vote. >> on the other hand, a no vote is not just a slogan. no is a decisive step toward an agreement we aim to sign immediately after the result. no doesn't mean clashing with europe or returning to a europe of values. no means strong pressure for a financially viable agreement, that will solve the debt, not ejected, not undermine greek society. no means strong pressure for a fair agreement that will equally divide the burden to the ones that have the means. lots of people -- not to the people depending on salaries and pensions. guy: mr. tsipras with a very clear no but there appeared to be divisions within his party. mr. varoufakis is clear that he

would like to see the leadership canceled. anna: talking about the referendum on sunday, we have polling data that will fixate for the next few days. what is the latest? guy: this is a poll from euro today. the yes camp are 67% and the no are 43%. what is really interesting is that this gives you an idea of the paradox we are facing. they asked another question -- do you believe greece should stay in the eurozone no matter the sacrifices? 74% said yes to that question. interesting stuff and goes to the heart of the divisions we find. anna: takes us nicely on to where the creditors stand.

hans: they are not quite sure what the next steps are. it is clear there won't be any negotiations, there is an offer from greece, a counter offer has been rejected. to get a sense of the frustration look at what mr. wolfgang schaeuble said, almost suggesting the greek government is lying. the greek government is not doing its people any favors at all if it keeps making completely false statements. other finance ministers are strongly suggesting that if the vote goes no, that will mean that greece is out of the eurozone. look at what mr. peter casimir said. i am afraid the greece ranks -- banks might not reopen with the euro as their currency in the case the referendum ends with a no. the situation is shifting to what do you do after the

referendum? it isn't as simple as grafting that old offer on to the new mechanisms. what they are saying is that you would have to start a new and there could be more onerous terms for greece. anna: paul, it seems every morning this week we take new twists and turns in this saga. wondering's morning whether the next turn comes from saga, brussels or frankfurt? reporter: i don't think it will come from frankfurt right now. the decision to keep ela unchanged on greek collateral suggests they are willing to give the referendum a chance. the ecb will sit back and give that political process in due time. the question is how do the banks there?

it reduces the liquidity outflows so that eases the situation a little bit. you have already seen pictures on the streets. pensioners because their surnames did not begin with a-k. they had to go home. the ecb has basically said he will have to struggle. anna: hans nichols and berlin, pollen frankfurt and guy johnson and athens. the greek story continues all the way through the weekend. sunday, we will see the referendum taking place and we will bring you coverage of the referendum of greece in crisis and a special -- greece in crisis. that special airs in the evening on sunday, july the fifth. now stocks in china have fallen to the lowest in three months. in good standing by and you can

tell us how the asian session is going. the chinese market is not just dealing with greece. i was fascinated to find out, 25% on the shanghai composite since june 12. that is more than the entire french market wiped off the chinese market in a matter of days. reporter: i think that is the story here because this is not some rinky-dink run-of-the-mill, fly-by-night stock market. the rules -- moves we are seeing constitutes a huge destruction of wealth. it is perhaps why we are seeing this unwind quite quickly. we are down 4.8%. we have the chinese government trying to step in and trying to figure out what the issues are

with new measures to slow down this unwinding of margin debt. first, they are actually going to reduce the amount of trading fees by 30% starting next month. the other one is that they are also looking to not require brokers to force the sale of stock positions. a bit more leniency. at this point we are still down 4.8% for that market. a lot of people are telling us that any sort of bump up will be taken as a chance to take profits off the table. any bump down will just be exacerbated. that is the casino there. there is also another casino story here in hong kong. clearly the outperforming block

here in asia. it is a perfect example of how to put a positive spin to a negative story. it is the client. it dropped this month and we are expecting a 30% drop. things are not as bad as they once were. anna: that is what you call looking on the bright side. with casino stories of all varieties. let's get more now from our guest host, with us for the next 20 minutes or so. we talked about the fed -- the jobs report rather hearing where do you see the fed going. janet yellen wants to hear more data on wages. do you think that we see the fed liftoff in september? it seems like the features markets are increasingly factoring in december.

guest: if you look back, and all of the indices that we have inflation is still highly moderate. from that point of view wage inflation data is really important today. there are other arguments. how about the emerging markets? o'er the vulnerability of many of those countries. they have been issuing debt. anna: i can hear the words now maybe not from janet yellen but others might say, they set interest-rate policy for the u.s.. they would care if there was slowdown elsewhere and that can back to hurt the u.s. economy but they don't set u.s. straight policy with emerging markets at the forefront of their mind. guest: they don't but if there were shockwaves to the developing world does come back to the u.s. in some form or another. we have seen some forms of

success, if you see the central bank governor of india who has been very successful in putting the case across the fed does need to take some degree of responsibility as they do inevitably come back and could potentially affect the u.s. in some form or another. i would agree with you that first and foremost it is massive. anna: so where does this leave the euro-dollar? the bundesbank earlier this week was saying that of course the euro is quite called in the face of this greek turmoil because it is all about different interest-rate policies. is that where we are right now? guest: a year ago when interest rates start to drive down the euro-dollar in the euro recently did something very interesting and it has been very resilient,

partly because of what happened at the start of the year as a function of ecb quantitative easing. we know that drives down bond yields and it pushed a lot of people out of the eurozone into high-yield assets. after member it is a current account surplus. that means there are savers if you like and a lot of them were pushed out of the eurozone at the start of the year and some of those were coming back to recall european assets. anna: i love in foreign exchange markets even when not much happens that can still be fascinating. we will talk about the fed and what they might do in that takes us to our twitter question, are you missing a lot of data points or do you think they should get on with it? #fedliftoff. twitter is where you'll find me.

we will take a break and guy johnson will be joined in just a few minutes by a guest from athens. talking to the former greek education and development minister. ♪

anna: welcome back to "countdown." here are the stories you need to know this morning. the swiss based insurance giant ace has announced a $23.5 billion bailout of the rival. the cash and stock deal will see his company owning 70%. the takeover will help them to compete with rivals american international group and warren buffett's berkshire hathaway. facebook has announced plans for more premium content away from

google's youtube. they will begin ensuring advertising revenue with countries -- companies that post videos on the social network. three days to go before greek voters have their say over the conditions of a new bailout package. a poll suggests increasing support for a yes vote. 47% of people are prepared to vote in favor of the rescue deal. the poll comes as prime minister alexis tsipras renewed his vote to reject the plan in sunday's referendum. let's go back to guy johnson in athens. guy: the yes camp is ahead, but it is interesting that we don't have the leadership of the yes campaign and there doesn't seem to be a standout voice leading the charge.

let's talk to one politician who hopes that will happen. he is the former eu commissioner here in athens, very nice to see you are coming onto our windy balcony. let's talk about the wind of change and whether or not we will see a yes victory this weekend. let's talk about whether or not we will get politicians standing up and supporting that. where are those voices? guest: first of all, i believe we have difficult and crucial days from them but i believe that yes we will win. not because of the leaders -- you're right, there are not strong leaders, but it has to do with the previous period and what happened with this country and how much of responsibility the political system has.

it is not very approved why the people but the yes will be a victory by the greek people because they want the vast majority to be part of europe. greece has a very turbulent past, so we don't want to be part of the isolated. we do not want to be alone. guy: do you think people will vote along those lines? or the youth in they will vote on the question in front of them, which is different -- or do you think they will vote on the question in front of them which is different? guest: the reality is there is a question and this is the proposal of the european institutions which is not valid anymore. greek people are invited to vote

on something which does not exist. so, the problem now is to persuade people what the question is and we have to put out the question ourselves. i believe that day by day, it is obvious. we have seen since monday that the gates of the hague have opened and i very much believe that people themselves will understand and decide. yes will be a big victory. guy: do you think it would be helpful if jean-claude juncker and martin schultz came and said we want you to be part of our club? or do you think people would see it the other way around? do you think they should come here to my rather than greeks going there? guest: can i tell you a truth. every time that wolfgang schaeuble's speaks, he supports the. we don't need wolfgang or ju

ncker. we have to decide for ourselves. the yes people and the know people have to put their arguments on the table. these three days will be the most crucial of the country since the second world war. guy: finally, you talk about the economy, right in the middle of tourist season, you could not have picked a worst moment. guest: i would like to give a message. greek people and greece need the support of other people across the world just for the present come to greece, it is an extremely beautiful country. greek hospitality is here and we really wait for everybody the summer. guy: i hope they will come. thank you. anna diamantopoulou, joining us

the former eu commissioner here in greece. anna: it looks nice in the sunshine. let's move on and talk about something very different. the nigerian president took office a month ago on a wave of hope that he would quickly deal with an -- a weakening economic crisis. so far, he hasn't met those expectations and has even delayed naming a cabinet until september. what is holding him back? reporter: there has been very little by way of official explanation as to what is causing the delay. what his aides have been telling us is that the president needs more time and is seeking to make critical appointments and is

trying to break away from the corrupt relationship of the past. they have also been saying to us that it is not that unusual to have a one-month delay in the appointment of the cabinet. this is in fact an unusual situation because we have a change in government rum the previous ruling parties. anna: have investors been buying this line? reporter: there is big concern at the moment. the main issue being that this is an economy in crisis and they would like to see more policy certainty. nigeria has been reeling from the collapse in oil prices. this is a country that relies -- 70% of the government revenue comes from oil revenue. we have a situation the president himself said the treasury is virtually empty. some state employees have not been paid and we have a currency

that has been devalued twice before. the longer nigeria goes without a cabinet that we could see a possible shock. anna: what will he need to do to restore confidence in the economy. guest: there is a lot of concern about how nigeria will be able to preserve its foreign currency at exchange levels. at the moment we had a 16% line in currency reserves this year and that has been undermining the currency. we see a 7% decline so far and the government is also going to have to deal with corruption particularly in the oil industry and to that extent buhari has

made some issues on dealing -- anna: i have to jump in, thank you for joining us. she is in johannesburg. you are looking at live pictures right now, qs once again outside the atms in athens. ♪

welcome back to "countdown." time for a look at the markets right now. in half an hour the european trading equity session. a fairly flat open compared yesterday. maybe that comes as a relief. the euro stock is currently crawl up around 3/10 of a percent and the footsie on the back of trading. let's get an update from their -- there. reporter: what we have seen at

the open is money moving out of most bonds in the european markets and you can see borrowing cost moving higher in the u.k., germany, england and portugal. i have just seen greece move a little and borrowing costs are coming down there. that said, trading is pretty thin. they don't necessarily put too much weight on the movement there. the u.s. treasury and 10 year yield and the german bund 10 year yield. on this chart you can see that spread has been widening. this is because for treasury traders today it is not so much about greece, it is all about the fed. we have the job numbers later and the consensus view that there will be 230,000 jobs added in june which means 16 months out of -- 15 months out of 16 of

increased jobs. that is increasing speculations that we will see a rate rise in september. anna: thank you. let's get back to jane foley who is still what us to the final thoughts i need from you are -- i was fascinated by a blog post from yanis varoufakis, about why this has happened, he is the finance minister in greece because creditors failed to decrease the unpayable public debt. it seems this is still the sticking point. guest: it is all about debt and at the end of the day greece has too much debt. a lot of analysts expect at some point along the line there will be some restructuring of the debt but for now the greek government have got themselves in the corner. they have to suggest to the people that they have to vote no. anna: we have the french finance

minister talking today and saying that it would not be possible -- and accord is impossible before the vote. guest: i think that is right because if they put something on the table and the greek people voted the opposite way it is a complete waste of time. greece with once were announced this referendum and it shocked the creditors and other have to lie in their bed. anna: thank you very much. great to see you this morning. let's continue talking about greece but bring in an angle from brussels. tsipras seemed to show some flexibility yesterday, but that offer to compromise as far as it went was quickly rejected. guest: that's right and i think it comes down to a question of trust. the eurogroup and the other

creditors fear in brussels and elsewhere have really got fed up with the way that the greeks are conducting the negotiations. yesterday is a case in point. citrus scent this letter to the eurogroup saying that he was willing to agree to most of the stipulations in the proposal on friday before the negotiations broke down. the eurogroup was going to meet and it met last night in a conference call but in between tsipras went on greek television and basically rubbished all of the proposals again. they are getting mixed messages here and are not sure exactly how to trust and who to trust at this point and they are looking for the referendum to get some clarity at this point. anna: are the finance ministers worried at all about a no vote? the latest polling suggests that

perhaps that is working in their favor. guest: the latest polls seem to suggest it could go either way with a slight edge to the yes camp and that seems to be growing. they are not too worried but that is true if it is a no vote, this is what tsipras has advocated. he put the vote out there but is saying that his administration once the people to vote no and if they do, the negotiations are basically over and you start on the slope toward going out of the euro. that is certainly something that no one in the creditor group wants. they want to reach a deal to keep greece in. but they need a yes vote and they are casting it as a vote on the euro and i think they are pretty confident that the greek people want to stay in the euro. so if they vote that way, i think the creditors are

confident in that case. anna: thank you very much. just 25 minutes to go until the start of european equity trading this morning. let's go to the investment management cio, james evans. great to see you as always. i got an interesting one liner from london this morning, markets are going nowhere until the weekend. is that your expectation? given the weekend referendum? guest: it is quite critical that i think the u.s. jobs data is critical. if the numbers are bad then clearly there will be a market reaction. i expect the market will choose to ignore the good news in anticipation. anna: how do you invest around greece as you try to get as far away as possible.

>> i think greece is in a very difficult position. huge difficulty because the scale of its debt is not turn a bull. all of this talk about short-term measure of security -- austerity of skewers the reality -- of skewers -- austerity obscures the reality. italy, whether there is genuine reform going on in the country or the economy versus tomorrow. there are fantastic options. i would think of companies that have global strength and relatively low evaluation and plenty of opportunities to help areas anna: -- help. anna: if there is more negative attached to the greek story you see that attaching more to france than italy? guest: i worry about france

because france has more negatives, the reform agenda meeting to be addressed rapidly and very little opportunity for the company's to self-help in an environment where they are hamstrung. the argument goes that it is massively devalued but then you can export more. or the scalability including the tourism. it does not have the capacity to crank the handle and generate more revenue. in contrast you have really quite significant and fixed import bills which are clearly on the rise by where the currency would be devalued.

anna: weather not be opportunity to become more competitive industries they don't play a role in, if they were out of the eurozone? guest: that would require a significant investment and the question is who is going to invest in the greek economy. we also want to look at what drives investor intentions. skilled labor force in the areas where businesses won't operate. greece does not exhibit real competitive markets. anna: just looking at some of the latest detail on where we are on european equities right now, the european stock market with euro stocks up 13% yesterday but that hides very different moves in the beginning of the year compared to the last three months. so where do you see european equities headed right now?

guest: european equities writ large will finish higher than current levels and greece did pay off. greece did exceptionally well despite the fact we were all nervous. it is clear that the bank of greece offers a play in some resolution of challenges. i look at the more quality growth names and companies i still regard as relatively cheap where europe has global growth gearing's saying it will perform well if we have a further pick up in growth trends. those who have not bought into the concept look very attractive. deutsche bank has excellent cash flow and from my point of view they are strategically undervalued. anna: stay with us, we want to

bring you up-to-date with the story that continues to develop. we got news yesterday that the u.s. lands to sue electrolux and ge. this is an antitrust lawsuit announced yesterday. the ge docket did not make clear what are a settlement had been reached but i tell you this because it seems that the shares could be under pressure as a result of this. we continue to get some comments coming through from the electrolux management as result of this. they say they will oppose the u.s. lawsuit the gristly. it seems that that one continues to develop and the ceo saying it is possible a judge would rule in their favor. watch for any weakness on electrolux at the start of trade areas also throw today, anticipated is the u.s.

payrolls, all eyes will be watching for a strong figure. bloomberg's mike mckee breaks down what we to look for in the jobs data. reporter: today is seeing more of the same. all of the data suggest that labor market momentum continued in june. the consensus for job creation is slightly higher than what was projected for may. there is upside risk again. yesterday's adp and i sm reports suggested stronger hiring in american factories. the number that will draw the most scrutiny is wages. janet yellen has made hourly earnings a set piece. it won't boost the annual rate. have two more jobs reports before september so markets may forgive a week number but given

the uncertainty about how many moves we may see this year, a strong report may produce some indigestion on trading desks. anna: that texas nicely to the question on twitter. what should the fed wait for before hiking rates. you think the missed data points is a long one arguing he just reinsurance on wages. you will find me on twitter if you would like to get in touch. we'll get james's thoughts when we come back and we will count you down to the opening of these european market. it looks as if we will see a slight move higher.

anna: welcome back. here other stories that you need to know. investigators say a faulty connector sending an accurate

information with a pilot a stake in late shutting down the wrong engine led to a trans airways when crash in february. 43 people died when the flight lost altitude clipped a highway and crashed into a nearby river minutes after takeoff. with just three days to go before greek voters have their share -- there's say, -- therir say a referendum package. 43% are in the. -- no camp. the swiss based insurance giant ace has announced a $23 billion buyout of their rival. the ceo says the cash and the stock deal will see his company owning 70% of the combined ensure. it will help ace to compete with rivals including american

international group and warren buffett's berkshire hathaway. let's get more on the m&a story. now joins us -- nara joins us now in studio. >> it could be a game changer they were saying we will see a feeding frenzy in the insurance industry and now analysts are saying it could drive m&a fever. we heard just there that this deal for ace is about being able to compete with companies like aig because competition has been driving down prices and affecting profits and that is why we are seeing this consolidation. some are looking at this and saying ace and traub are both well run. anna: does this mean that we see

a frenzy of m&a globally? because 2015 has already been a good year. guest: global m&a is on track to pass $13 trillion for the first time since 2007. the reason for the boom is that it is about recovery and available credit. but interestingly they are saying that countries are being put off i high valuations because they can sometimes use their own high-value equity as a currency to fund deals. they are not really that concerned about the fed raising rates. it isn't about companies frontloading before that expected hike. anna: it sounds like the u.k. housing market, if you have a house you are less worried. are you investing around m&a

right now either insurance or other areas you are waiting to see further coming through? guest: what his interest in for me is diageo in the frame as a possible m&a target is now busy clearing its decks. a divestment campaign is part of the mechanism. i think this is really fascinating at two levels. one of the big challenges of m&a is cost control. the probability that year on year wage growth will be around 2.5%. what is happening is not helping productivity and is largely about compliance. many companies will be saying hang on a minute, what can we do to become more efficient to justify further evaluations. anna: what is the story in asia? not quite so simple perhaps. >> that is true because the

headline number makes it look like the fastest start to a year on record. acquisitions rose more than 60% to five -- 500 and $2 billion but the problem is most of it has been domestic consolidation and restructuring. investment bankers are not too happy because they have the higher fees. anna: thank you very much. the latest on the m&a front. we mentioned this a few times. how much are you fixated on the different path that the fed seems to be taking or looks to be taking compared to the ecb. is this driving policy globally? guest: i think the policy of close to zero interest rates is causing more problems than it is your in. i for one would be keen to see

the interest rates hiked. i think that mrs. yellen is very well aware of the challenges and would look to raise rates. anna: is that the reason? it is amazing how many people do seem to go along with that view that it is just wrong to have interest rates as low as they are right now. they need to get started hiking, even if some of the inflation data isn't that strong? guest: i worry about inflation insofar as the global deflation issue is clearly a result of oversupply and that has come because of significant excess investment. quantitative easing excess liquidity has been recycled into the fast-moving economies and are taking the cash and building new plant machinery.

everybody said quantitative eating -- easing but try to get demand up to drive the economy. not so. i think we will have more inflation or he pressures. anna: are you in to the details when it comes to the jobs report? long-term unemployment under employment wages? guest: the three measures of wages i will keep looking at are the numbers. the three-month numbers annualized and the year on year. those sorts of numbers would be consistent with an improving economy. and therefore more probability that mrs. yellen world persuade the fed to hike it in september.

let's say that the real issue with mrs. yellen is greece because she has the capacity to push the first hike until december. anna: good to have you on the program today. james joining us. six minutes ago until european equity markets open up this thursday morning. jon ferro joins us now from the news desk. a slight bounce in equities but are we on hold until the weekend? tom: on hold -- jon: on hold until the jobs number at least. 233,000 is the estimate, a drop back to 5.4% on the unemployment rate. all numbers that matter are the big headline numbers. 24 hours to go almost taking that a deal is imminent. then prime minister tsipras

addresses the public and things completely turn once again. for me, the number one market story, head east. the biggest shanghai composite since 2008. the big shanghai swings back big time. anna: thank you very much. my favorite snap of the day, the shanghai composite lust 25% since june that is the same size as the french stock market lost since june 12. "on the move" is up next. the run up to the jobs report and we look forward to the referendum at the weekend.

johnathan loyd good morning and welcome to "on the move your co- we're moments away from the market open. let's go to your morning brief. alexis tsipras tells his country to vote no in sunday's referendum. it is jobs day, once again the u.s. economy is expected to add more than 200,000 jobs. the first rate hike since 2006 read chinese stocks swing even after the government takes measures to support equity shanghai cop as it drops back to a three-month low.

i will get to that in just a moment, ahead of the open futures are higher. dax futures are higher, 35 points north. mark: one day of gains for the euro. the euro is of -- of -- it is all about jobs this morning. employers probably added 200,000 jobs for the 15th and 16th month. 233,000 jobs is expected. keep an eye on hourly earnings in may, on a yearly basis we had a increase of 2.3%, the most since august 2013. expect an increase of 2.3% on the end.